Dean Humphrey v. Sequentia, Inc.Dean Humphrey v. Sequentia, Inc.
Plaintiff Dean Humphrey appeals from an interlocutory order entered in the United States District Court for the Western District of Missouri denying his motions for a preliminary injunction and for remand to the Missouri state court from which this case was removed by defendant Sequentia, Inc.
Humphrey v. Sequentia, Inc.,
No. 94-0295-CV-W-1 (W.D.Mo. May 17, 1994). For reversal, plaintiff argues that the district court lacked removal jurisdiction and therefore erred in denying his motion for remand because (1) his claim of retaliatory discharge is not preempted by § 301 of the Labor Management Relations Act (LMRA),
I. Background
Plaintiff, a former employee of defendant, was injured on the job on-February 21,1994. He took a disability leave from February 21, 1994, through March 21, 1994, during which he received workers’ compensation benefits. On the day he returned to work, March 22, 1994, plaintiff allegedly made a racial remark to a truck driver, which was reported to his supervisor. That same day, with his union representative present, plaintiff was suspended pending an investigation.
Plaintiff filed the present lawsuit in Missouri state court seeking a temporary restraining order (TRO) or preliminary injunction to obtain, among other things, reinstatement to his former employment, on grounds that defendant had discriminated against him in violation of
On March 28, 1994, defendant removed plaintiffs state court action to federal district court, pursuant to
While the parties were briefing the issues on appeal, plaintiff filed a motion for leave to amend his complaint, which was accompanied by a proposed amended complaint, in the district court. The district court granted the motion. Plaintiffs amended complaint includes federal claims under § 301 of the LMRA in addition to his original claim of retaliatory discharge under
II. Discussion
A. Motion to Dismiss the Appeal
First, we address defendant’s motion to dismiss this appeal as moot. Defendant argues that once plaintiff amended his complaint to add federal claims under the LMRA, the district court clearly acquired jurisdiction over the LMRA claims,
In the present case, plaintiff argues that he, like the plaintiff in O’Halloran, had no choice but to amend his complaint, thereby creating a basis for federal jurisdiction. At the time he filed his motion for leave to amend, the district court had already ruled that his workers’ compensation retaliatory discharge claim was preempted by § 301 of the LMRA; moreover, the district court had denied plaintiffs motion for a stay of proceedings pending the outcome of this appeal and had ordered the parties to present a scheduling order for the disposition of the case. Thus, plaintiff argues, the district court presented him with a Hobson’s choice. 3 Under the circumstances, his options were to amend his complaint to allege the federal LMRA claims or risk dismissal of the complaint and, consequently, preclusion of his federal'claims under the doctrine of res judicata. 4
We agree with the Ninth Circuit’s conclusion in
O’Halloran
that, “when a court orders the plaintiff to amend its complaint, doing so does not moot the question whether removal to the federal court was proper.”
B. Merits of the Appeal
A defendant may remove an action from state court to the federal district court for the district in which the action is pending if the action is within the district court’s original jurisdiction, unless an Act of Congress expressly provides otherwise.
§ 301 Preemption as Grounds for Removal Jurisdiction
Plaintiff argues that the district court erred in holding that his claim of retaliatory discharge is preempted by § 301 of the LMRA. More specifically, plaintiff argues that the district court failed to properly apply the “complete preemption” doctrine as the basis for determining whether it had removal jurisdiction. The Supreme Court has explained the complete preemption doctrine as follows.
■ Only state-court actions that originally could have been filed in federal court may be removed to federal court by the defendant. Absent diversity of citizenship, federal-question jurisdiction is required. The presence or absence of federal-question jurisdiction is governed by the “well-pleaded complaint rule,” which provides that federal jurisdiction exists only when a federal question is presented on the face of the plaintiffs properly pleaded complaint. ...
Ordinarily federal pre-emption is raised as a defense to the allegations in a plaintiffs complaint.... [I]t is now settled law that a case may not be removed to federal court on the basis of a federal defense, including the defense of pre-emption, even if the defense is anticipated in the plaintiffs complaint, and even if both parties concede that the federal defense is the only question truly at issue....
There does exist, however, an “independent corollary” to the well-pleaded complaint rule, ... known as the “complete pre-emption” doctrine. On occasion, the Court has concluded that the pre-emptive force of a statute is so “extraordinary” that it “converts an ordinary state common-law complaint into one stating a federal claim for purposes of the well-pleaded complaint rule.” ... Once an area of state law has been completely pre-empted, any claim purportedly based on that preempted state law is considered, from its inception, a federal claim, and therefore arises under federal law.
Caterpillar Inc. v. Williams,
We review the district court’s preemption decision de novo.
Taggart v. Trans World Airlines, Inc.,
We agree with the court’s explanation that the state-law analysis might well involve attention to the same factual considerations as the contractual determination of whether Lingle was fired for just cause. But we disagree with the court’s conclusion that such parallelism renders the state-law analysis dependent upon the contractual analysis. For while there may be instances in which the National Labor Relations Act pre-empts state law on the basis of the subject matter of the law in question, § 301 pre-emption merely ensures that federal law -will be the basis for interpreting collective bargaining agreements, and says nothing about the substantive rights a State may provide to workers when adjudication of those rights does not depend upon the interpretation of such agreements. In other words, even if dispute resolution pursuant to a collective-bargaining agreement, on the one hand, and state law, on the other, would require addressing precisely the same set of facts, as long as the state-law claim can be resolved without interpreting the agreement itself, the claim is “independent” of the agreement for § SOI pre-emption purposes.
Defendant argues, among other things, that
Lingle
does not apply in the present case because the true nature of plaintiffs claim is that he is dissatisfied with the discipline that he received as a consequence of the March 22, 1994, truck driver incident, which, according to defendant, has nothing to do with plaintiffs prior receipt of workers’ compensation benefits. Thus, defendant argues, plaintiff is seeking, by this litigation, to circumvent the grievance procedures under the CBA. Defendant also argues that, by seeking injunctive relief, plaintiff has necessarily invoked the CBA. Defendant notes that
Guided by the Supreme Court’s analysis in
Lingle,
we hold that plaintiffs action is not completely preempted by the LMRA and therefore the district court did not have removal jurisdiction. In. response to defendant’s argument that the true controversy in the present case concerns the discipline plaintiff received, we note that plaintiff has consistently denied making the alleged racial remark. Plaintiff maintains that the incident was fabricated as a pretext for retaliating against him because he had exercised his rights under the workers’ compensation laws, and would likely continue to do so. Thus, the controversy in the present ease primarily concerns the conduct of the parties and their motivation. “ ‘[P]urely factual questions’ about an employee’s conduct or an employer’s conduct and motives do not ‘requir[e] a court to interpret any term of a collective bargaining agreement.’”
Hawaiian Airlines, Inc. v. Norris,
— U.S.-, -,
In response to defendant’s argument regarding the remedy plaintiff seeks, plaintiff argues that, although
While we agree with defendant that plaintiff stands on shaky ground in requesting only injunctive relief pursuant to
Applicability of
Plaintiff also argues on appeal that this case arises under the workers’ compen
In holding that
In
Spearman,
however, the Seventh Circuit specifically explained that the plaintiffs fault-based retaliatory discharge claim was not embodied in the Illinois statutory workers’ compensation scheme, but rather derived from the state’s common law.
No employer or agent shall discharge or in any way discriminate against any employee for exercising any of his [or her] rights under [the Missouri Workers’ Compensation Act]. Any employee who has been discharged or discriminated against shall have a civil action for damages against his [or her] employer.
Plaintiff thus argues that the district court erred in its analysis by following
Spearman.
We agree. Unlike the common law tort action brought by the plaintiff in
Spearman,
plaintiffs original state court action in the present ease was brought pursuant to a state statute, Mo.Rev.Stat
The issue of whether plaintiffs cause of action in the present case is one “arising under” Missouri’s workers’ compensation laws, for purposes of applying
How and when a case arises “under the Constitution or laws of the United States” has been much considered in the books. Some tests are well established. To bring a case within the statute, a right or immunity created by the Constitution or laws of the United States must be an element, and an essential one, of the plaintiffs cause of action.... The right or immunity must be such that it will be supported if the Constitution or laws of the United States are given one construction or effect, and defeated if they receive another.... A genuine and present controversy, not merely a possible or conjectural one, must exist with reference thereto ... and the controversy must be disclosed upon the face of the complaint, unaided by the answer or by the petition for removal.... Indeed, the complaint itself will not avail as a basis of jurisdiction in so far as it goes beyond a statement of the plaintiffs cause of action and anticipates or replies to a probable defense.
Id.
at 112-13,
Defendant relies on
Spearman
to argue separately that plaintiff’s cause of action does not arise under Missouri’s workers’ compensation laws because the claim
is fault-based,
a factor cited by the Seventh Circuit as additional grounds for concluding that the Illinois
Kelsay
tort does not arise under the Illinois workers’ compensation laws.
The nature of the relief available after jurisdiction attaches is, of course, different from the question whether there is jurisdiction to adjudicate the controversy.... [T]he breadth or narrowness of the relief which may be granted under federal law in § 301 cases is a distinct question from whether the court has jurisdiction over the parties and the subject matter.
III. Conclusion
For the reasons discussed above, we hold that the district court erred in holding that (1) it had removal jurisdiction over plaintiffs retaliatory discharge claim on the basis of § 301 preemption, and (2)
Notes
.
No employer or agent shall discharge or in any way discriminate against any employee for exercising any of his [or her] rights under [the Missouri Workers’ Compensation Act], Any employee who has been discharged or discriminated against shall have a civil action for damages against his [or her] employer.
. Referring specifically to the denial of his motion for remand to state court, plaintiff moved for an amendment of the district court’s order, requesting that the court include in writing the certification language required for interlocutory appeal under
. Thomas Hobson (1544-1631), an English liveryman, required his customers to take either the horse nearest the door or none at all.
. In support of plaintiff's claim that he faced a possible dismissal of his complaint, we note the district court's comment to plaintiff's counsel at the hearing on plaintiff's motions (which occurred prior to the amendment of the complaint): "your motion for a summary dismissal to be remanded will be denied. I do not find this, from your position in the pleadings, to be a Workmens’ Comp case. I do find it to be a conduct violations case not properly before the court." Joint Appendix at 145 (emphasis added).
.We strenuously caution, however, that plaintiff would have been well-advised to seek a stay of proceedings in the district court from this court pursuant to
. In his original "Motion for a Temporary Restraining Order and Preliminary Injunction,” filed in Missouri state court, plaintiff sought, in his prayer for relief, an order from the state court enjoining defendant from, among other things, "disciplining or reprimanding Plaintiff except upon good cause as defined in the applicable collective bargaining agreement, and upon notice to the Court of the basis of such action.” Joint Appendix at 19.
. In
Lingle v. Norge Div. of Magic Chef, Inc.,
. We note that plaintiff could have relied iipon
. In
Spearman
v.
Exxon Coal USA, Inc.,
.
. Plaintiff argues that so long as a claim arises under a state’s workers' compensation laws,